How a Winery Operates
Part 6 - Decoy Focus
With the inauguration of the first Decoy wine in 1985, we embarked on a new era that further emphasizes quality through "declassification." For years established wineries around the world have used an alternate, or "second," label, wherein wines that did not quite make the first string are labeled with a tie-in brand. The second wine of Chateau Lafite in Bordeaux, Carruades de Lafite, is a prime example. Although it is said that Chateau Lafite originated the concept in the 18th century, second labels have been in vogue only in the last 25 years or so. The demand for them may have been accelerated by the need to bottle the best wine possible from each vintage, and increased competition demanded a vigorous selection of wines used in blends of the primary wine. Some of these second wines take on a brand life of their own as evidenced by Mouton Cadet, which began as the second wine of Chateau Mouton-Rothschild.
Second labels are often produced to accommodate lots that originate from young vines. Such vines, less than 10 years of age, often do not produce the desired intensity and complexity sought for the primary label. Also, during the blending process, certain lots may be slightly below our expectations, or simply do not fit into the final blend for any of our Duckhorn labeled wines. These lots are then re-blended to arrive at our Decoy Napa Valley Red Wine. Those that do not make even this cut are sold in the bulk wine market.
From a management standpoint, the key issue is whether or not to produce Decoy in any given year, and if so, how much. First, to protect our high quality standards we have instituted strict criteria with respect to this label. All of the component wines are made from the beginning as if they were to be part of our principal wines. Even though Decoy is priced, on average, about 50 percent below our Duckhorn labels, we do not try to produce less than a very high quality wine. Second, even if a lot is acceptable on its own—and has been assigned to Decoy—but just does not "fit in," we sell it in bulk. Finally, the amount of wine bottled annually under Decoy is not set by formula. Since we do not source fruit or make wine specifically for this brand, we are not able to come up with a minimum amount. The vintage determines the quantity.
If the bulk wine market were to heat up as it did several years ago because of short crops, we would still bottle a qualified Decoy, even though we may be better off financially to sell the wine in bulk. Our customers come first, and we will always try to produce a quantity of Decoy that lets our customers purchase this quality wine.
Beginning this year, we decided to bottle our Decoy wine with a blend of only Duckhorn red varietals (Cabernet Sauvignon, Cabernet Franc, Merlot, and Petit Verdot). This is consistent with our original intent to use the declassified lots as a means to give Duckhorn customers a good value, and to develop a gateway wine to our family of wines.
Go to Part 7: Estate Vineyard Acquisitions
